By OGJ editors
HOUSTON, Oct. 5 -- Shell Oil Co. reaffirmed its commitment to the deepwater Gulf of Mexico, announcing it will add a second tension-leg platform to Mars field off Louisiana.
The Mars B deepwater development, 130 miles south of New Orleans, will include the 100,000-boe/d Mars B Olympus TLP, scheduled for operation in 2015.
"This significant investment decision demonstrates Shell's continued commitment to responsibly maximize deepwater oil and gas recovery,” said Marvin Odum, Shell’s Upstream Americas director and president.
Cost of the Mars Olympus TLP was not disclosed, but Odum said Shell plans to invest $10 billion/year on US and Canadian upstream projects through 2014.
The deepwater gulf is part of Shell’s growth plan for the next 4 years, Odum said, forecasting a positive outlook for gulf exploration and production.
Shell holds 71.5% interest and will operate it. BP PLC holds 28.5% interest.
Mars field, discovered in 1989, has been producing since 1996. The Mars B Olympus TLP will process oil and gas from the West Boreas and South Deimos discoveries.
The Mars B development will draw production from eight Mississippi Canyon blocks: 762, 763, 764, 805, 806, 807, 850, and 851.
